Outsource data center pricing models – is simple better?

Outsource data center pricing models vary. Companies who use outsource data center (colocation) facilities often have multiple line items on monthly invoices that include charges for racks, floor space, power utilization, port charges, cross-connect fees, circuit sizes, redundant power feeds, whips, access to remote hands, and IT services. What are these companies really paying for?

Simple pricing models can have a great advantage if you clearly understand your mission critical facilities needs. But a simple pricing model is only as good as the data center providing it. Most of the clients we talk to are interested in a few immutable data center requirements:

• Hardened data center facilities
• Data center power redundancy
• Data center cooling redundancy
• 99.995% uptime or higher
• Fire suppression
• Carrier neutral data center with no cross-connect fees
• Multi-layered data center security

If your data center provider offers these features in a simple pricing model, then they are offering you flexibility for growth, support for additional power, and the ability to change carriers as needs change with a minimum of trouble. The ability to change the data center can be a strategic advantage over time. The only thing constant in the data center is change.

Here are some features and advantages to a simple pricing model:

• Power utilization is necessary no matter where the equipment lands. Separating data center power costs from other costs makes good sense. You should only pay for power utilization based on actual draw.
• Forecasting growth and change is easier with a simple data center pricing model.
• Simple pricing models also show a level of transparency from the data center provider.

Considering outsource data center facilities? Call me at 317.423.2591 to learn how Lifeline Data Centers is driving higher data center uptime levels and reducing the costs associated with operating enterprise data center facilities.

Alex Carroll

Managing Member at Lifeline Data Centers

Alex, co-owner, is responsible for all real estate, construction and mission critical facilities: hardened buildings, power systems, cooling systems, fire suppression, and environmentals. Alex also manages relationships with the telecommunications providers and has an extensive background in IT infrastructure support, database administration and software design and development. Alex architected Lifeline’s proprietary GRCA system and is hands-on every day in the data center.